When starting a business in Kenya, one of the key legal obligation to operating your business is to have it registered.
In this article, I will guide you on the requirements you need to prepare in order to register your limited company in Kenya.
Company Name Search
It’s ideal to come up with 2-3 company name suggestions that you can use to check the availability of your company name, for example – “Fenesi Consultancy Ltd”, “Kiprono Consultancy Ltd”. Please note that you are only allowed to perform one name search at a time.
Memorandum & Other Documents
Once your company name has been reserved, you will need to provide your information that will be used prepare your company documents.
Here are some of the information that you will need to collect;
- Full names – your full names as displayed on your ID/Passport will be used on the application
- Occupation – you will need to state your occupation e.g. IT Consultant, marketing consultant, finance consultancy, consultant etc. If you don’t have any occupation, don’t worry, you can simply put either businessman or businesswoman.
- Postal address – you will need to provide your postal address. If you don’t have one, you can register it with Posta Kenya.
- Physical Residential address – This information will be used on the Form CR8 to comply with the Company Act which requires all directors to provide their residential address. You’ll need to provide LR number or house number, building name (if any), street name, town name, country.
- Share Allocations – each director will need to be allocated at least 1 share. Remember that the total number of shares available for allocation is 1,000 shares. You can plan to allocate your 1,000 shares using percentages such as 60%/40%, 50%/50%. However, if you are just the sole director then you can have 100% share ownership.
See also: Nominal Capital Share Explained
- Proof of Identity documents – you will need to provide the following documents for registration, without them your application will be rejected.
- Copy of ID or Passport – you can scan or photocopy your identification document
- Copy of KRA PIN certificate – all Kenyan directors/shareholders will need to provide KRA PIN, however foreigners won’t need to provide one for the registration
- Photos – must have a clear background and show all your facial features, just like a passport photo. Please avoid submitting photos that has someone wearing sunglasses, hats; this could cause your application to be rejected by the Registrar.
- Company Name Suggestions – you’ll need to come up with up-to 2 company name that you would like to check its availability
- Nature of business – with the new Company Act 2015, you can now do all trade of consultancy business without any restrictions.
- Location of business premises – you will need to provide the location details of your office including LR Number or Plot Number, Building name (if any), Street name, Town name. If you don’t have a business premises yet, then you can provide your home address then make the changes later once you have secured a business premises.
Once you have provided the above information, your company documents will be prepared and each directors will be required to sign the Memorandum & other documents as follows;
- Form CR1 – Application Form for Company Registration
- Form CR2 – Memorandum
- Form CR8 – Notice of Residential Address of Director(s)
- Notice of Nominal Capital Share
- Cessation Form (only applicable for applicants who are upgrading their business to limited company)
Certificate of Incorporation
Upon signing your documents, your application will be submit at Company Registry for process. the documents will be verified and approved before going to Company Registrar for signing. After a few days, your certificate will be issued.
- Lite Plan – Ksh. 25,000 – Includes Name Search, Certificate of Incorporation, Memorandum & Article of Association Only.
- Premium Plan – Ksh. 40,000 – Includes Name Search, Certificate of Incorporation, Memorandum & Article of Association, Company KRA PIN, Logo Design, Business Card Design, Website Design (Includes Tablet & Smartphone Designs), 1 Year Domain name (.COM or .CO.KE), 1 Year Web Hosting (250MB Diskspace, 2500MB Monthly Bandwidth), Up-to 25 Company Email Accounts, 1 Month Free Access to Online Business Coaching Program.
This process usually takes 5-10 working days depending on the workload of Company Registry.
So now you know the process of registering a limited company in Kenya.
Do you have a business idea and want to start it off, well you can have it registered as limited company today!
Register Your Limited Company Today
Here Is To Your Success In Registering Your Limited Company!